Wednesday 16 February 2011

Peugeot and BMW form hybrid components joint-venture

Good example of Collaboration, Network Level Strategy. This is a Joint Venture between to well established rival companies in the automarket. This collaboration concerns a segment of the market that none of them entered in the early stages. It concerns a Macro-External factor (technology) which was an uncertainty in the previous decade and has now created a new segment in the market. As usual most of JV are driven by R&D needs. It is also interesting to note that in other industry these companies would had considered a stronger collaboration (Merger?) but it is well established that European governmenets will not give in easily on such mergers.


Peugeot and BMW form hybrid components joint-venture

French car maker PSA Peugeot Citroen and Germany's BMW have extended their engine partnership by creating a joint venture to develop, purchase and produce powertrain components for hybrid vehicles.

Read the whole article at: http://www.reuters.com/article/2011/02/02/us-peugeot-bmw-idUSTRE71124V20110202

additional article with more analysis on the same topic: http://uk.ibtimes.com/articles/110912/20110210/bmw-group-psa-peugeot-citro-n-electrification-venture-hybrid-technology.htm

2 comments:

Strategic Management said...

Thank you for this post. Very helpful.

coaching employees said...

Very interesting. Hybrid are the rave nowadays, I guess?